They have no clue just like the guy they voted for. Even after you try and tell them, they still have no clue and that is the way the liberals want their voters. Dumb.
$3/gallon in CT right now.
Gasoline/diesel prices and supply....fill em up
- Thread starter Nape
- Start date
$3/gallon in CT right now.
I’m not up to speed on Cushing, etal. I know they’ve been building out storage there for some time.
Jtrain80
Legendary
48 mil bbl. WTI went negative @ ~70 mil.
I got to the 1 yr chart before it wanted a subscription. Looks pretty full to me.
Shit my truck has a 44 gallon tank and gets 12-13mpg around town. I’ve been riding the bike a lot more, it gets 45ish mpg if I keep the front wheel on the ground.
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tgsell
Poster
Storage is of no consequence if there is half the product.
4n6tox
Poster
I wish it looked that cool. It’s just too much fun.
Mine looks like this.
Love the enduro style bikes. I wrecked one due to having the knobby tires that grabbed an asphalt gap on the colonial parkway in VA 7 or so years ago. Tibial plateau fracture was terrible but wearing full faced helmet and gear saved my life. I would love to ride again, but I'm not tempting the gods twice. Ride safe.
The simple answer is there is an abundance of it.
The complex answer is the drop in demand the last year due to the WuFlu. Typically you get about 19 or 20 gallons of gasoline from a barrel of oil and about 11 gallons of ULSD. So if you take all of the trucking and shipping demand offline around the world for months on end you will see a rapid increase in supply. Add in the fact that the NE heating oil corridor has had a relatively mild winter and the effect is higher distillate supplies.
A fundamental reason for diesel typically more expensive is the federal excise tax on ULSD (24.4cpg) is higher than gasoline (18.4cpg). We are one of the few countries on the planet where gasoline is cheaper than diesel.
Right on schedule. Last week was $2.99 a gallon. Today, $3.99.
CrimsonTider22
Poster
They are a lot of fun. More fun off road than on but not quite a dirt bike in true single track.
Yeah can't have a pro business / work model for anything in the US or those blue collar deplorables will improve their lives.
I'm selling this summer in JoCo and moving south of Louisburg. Bought the home in 2012 for 220k. I bet it sells north of 350.
dirtytoeddawg
Legendary
We just added 2 1000 gallon diesel tanks on the farms to go with the existing one Filled them all up.
Friend of mine with a larger operation installed a new 10k tank in January
4n6tox
Poster
How are the schools down there? Private options if no good?
Why is it more expensive period...? Diesel takes less effort to make than gasoline.
Public schools outside the KC Metro still say Merry Christmas and don't shove equity bullshit in their employees faces. That being said, there's very affordable private school options.
Taxes.
Front month futs, both settling to New York Harbor, has RBOB trading at a 19 cent premium to ULSD.
Pineapple
Legendary
NW Louisiana racks are stalling with heavy demand and low supply. WTX is covered. Oddly it used to be the Permian that had allocation issues but with Magellan adding gallons, Sunoco’s Terminal (JC Nolan) in Stanton and Delek taking over Big Spring that market is flooded.
Big players are buying at OPIS Low -.03 to -.05.
Big players are buying at OPIS Low -.03 to -.05.
That’s a nice diff....assuming you are talking WTX at OPIS under?
Day barrels up here are all over the place. A huge problem at the racks is the spread between Argus and Platts has gotten stoopid. BP racks (Argus) are typically a penny or two over Exxon racks (Platts). About 3 weeks ago they were better by 3-4 cents. Now look at them:
Who are the main players in NW LA? I assume TAC, Global, Murphy, and Delek (maybe).
Pineapple
Legendary
Exactly. We would seek barrels at OPIS Low -.03 with a Platts backstop at 12 to 16.
Cray how the pricing fluctuates. Murex buying 8mm barrels a month at those numbers was a great POT for us.
Indeed. Who do you deal with at Murex? Jeremy M?
Tell_Sackett
Poster
The roaring rally in futs and swaps has taken a breather. But that doesn’t mean prices are going lower. Just yesterday RBOB futs were down about a nickel but our wholesale costs here in Pritzkanistan went up. There is what’s called “basis risk” everywhere due to a significant lack of supply still in the system. Basis is how your area is trading versus the delivery point of the contract. RBOB settles to New York Harbor, so our basis in Chicago is typically 5-10 cents under NYH. As of last night we were about 27 under the Harbor, which shows how tight things are on the East coast. Futures are down another 5-6 cents today so it will be interesting to see where my cost comes in tonight at pricing (typically between 5 and 6p).
Supply and demand. Refineries have had issues, the supply of feedstock (crude oil) is tight as it’s been in quite some time, and political bullshit has brought the market to quite the imbalance.
Whats up Nape? Enjoy your cooking threads. Used to trade down at CBOE for years until i wizened up and moved out of Chicago and headed for warmer climate.
Not much exposure to the gasoline and / or oil trading but am interested. Question, why is the basis in Chicago cheaper than in NY where the contract is settled? It seems if the product gets to NY harbor and the contract is settled, that there would be additional basis (cost) to get the product to Chicago? Clearly i am misunderstanding something.
What ticker symbol do you follow for gas? Rbob? Are those futures? Do you follow the gas / oil relationship or mostly just gas?
Great question.
As you know, if you take a future contract to settlement date you are obligated to deliver the product (short the contract) or buy the product (long the contract) by a certain date. You can agree upon a different location that the CME allows but that would be price adjusted for basis, freight, etal.
The main reason Chi basis is typically where it is is because of refinery feedstock. Years ago (early 2000s) BP and Exxon (two largest Chi refineries) along with Citgo, put billions of dollars into their kits to be able to run very heavy, sour crude coming out of Canada. Known as tar sands, this shit is god awful stuff and a bitch to crack. The redeeming quality of it is its price. It typically will be at a steep discount to WTI or other light sweets or even medium light sweets. So these refineries in the region are running crude that could be $20-30/bbl cheaper. That makes a huge difference. These refineries can also run Bakken crude but it’s significantly lighter than tar sands, thus more expensive
Also keep in mind that a lot of the product in NE/Mid-Atlantic comes up the Colonial Pipeline from Houston. They also have a robust import market when the arb to European product is open.
RBOB is all we follow. We will look to feedstock changes but that doesn’t happen frequently because of supply agreements between refiners and their crude supplier.
RHT 3
Elite
I look forward to getting another diesel truck. People see the higher price sometimes but don't understand the gas mileage differences, the difference in longevity of the engines, and if you drive a lot you'll actually come out way ahead with a diesel cost wise.
Plus its clean regardless of what the idiots say.
Massive supply issue this morning. The Colonial Pipeline, which transports fuels from the refining base in the GC from Houston to NYC, was shut down by a cyber attack. That’s a huge fucking deal as that pipeline supplies about half of all fuel consumed on the east coast. If you need fuel go get it now. Prices are sure to surge in some areas that aren’t flush with reserves.
Meanwhile we debate about vaccines and masks. Our enemies seem to be pressing their advantage. Could be a long hot summer as tempers and frustrations rise. Meanwhile at The White House.
SKOL!
My Step Father (May he Rest In Peace) was a jobber for Marathon Oil. He had the Illinois territory for 10 years or so back in early 2000’s. Fascinating business.
AgEngDawg
Legendary
I worked for a jobber in high school.
They took oil from the distribution points to stations.
That is what you are talking about right?
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